News

NetBank Payment Systems adds $1.5M to parent's earnings in '04

February 7, 2005

ATLANTA -  NetBank Payment Systems, which includes the ATM/merchant processing business formerly known as FTI, provided a bright spot for parent NetBank Inc. in 2004, contributing net income of $1.5 million ($2.3 million before taxes).

The company grew its ATM and merchant terminal network to 10,913 during 2004, an increase of 6,419 or 143 percent from 2003.

Pre-tax income from ATM and merchant processing declined $447,000, or 62 percent, in 2004's fourth quarter for a total of $275,000. NetBank attributed the decline to lower ATM transaction volumes and said it expected volumes to trend upward in the coming months.

For the year, NetBank reported overall net income of $4.2 million or 9 cents earnings per share, compared with $50.5 million or $1.04 EPS for 2003.

The company reported a net loss of $17.7 million or 38 cents EPS for the fourth quarter, compared with net income of $10 million or 21 cents EPS during the same period a year ago. The results included a provision expense against the company's Commercial Money Center lease receivables totaling $29 million, pre-tax, or 38 cents EPS, after-tax.